PTEN · 10-Q · 2026Q1

PATTERSON UTI ENERGY INC

Filed 2026-04-28 · Energy

Ranked Events

• Interest Rate and Refinancing ExposureImportance 71 · Surprise 60
  As of March 31, 2026 the company had commitments under its Credit Agreement totaling $500 million and available borrowing capacity of approximately $497 million; the Credit Agreement loans and commitments were…
• Operating Expense TrendsImportance 71 · Surprise 82
  Corporate general and administrative expense rose to $46.4 million in Q1 2026, up 9.8% YoY, driven by higher share‑based compensation related to cash‑settled liability awards and employee separation costs. Drilling…
• Guidance / OutlookImportance 68 · Surprise 68
  For Q2 2026 the company expects drilling services adjusted gross profit to decline slightly sequentially with an average active rig count around 90 rigs and an expected exit level of approximately 92–95 rigs as rigs…
• Income Tax Rate ChangesImportance 65 · Surprise 82
  The company reported an effective income tax rate of 12.8% for the three months ended March 31, 2026, compared with 39.2% for the three months ended December 31, 2025 and 51.9% for the three months ended March 31,…
• Acquisition / Partnership / DivestitureImportance 65 · Surprise 82
  In January 2026 the company signed a multi‑year agreement to lease two rigs to DLS Archer Ltd. S.A. to support Archer’s operations in Argentina’s Vaca Muerta, expanding international contract exposure. The company…
• Outstanding IndebtednessImportance 64 · Surprise 42
  Long‑term debt outstanding at March 31, 2026 totaled $1.2 billion consisting of $483 million of 2028 Notes, $345 million of 2029 Notes and $400 million of 2033 Notes. The Credit Agreement commitments were $500 million…
• Gross Margin DriversImportance 60 · Surprise 40
  Adjusted gross profit for the three months ended March 31, 2026 was $133.9 million for Drilling Services (down 19.0% YoY from $165.2 million) and $98.1 million for Completion Services (down 9.5% YoY from $108.4…
• Revenue Performance and MixImportance 60 · Surprise 40
  Total consolidated revenues for the three months ended March 31, 2026 were $1,117.3 million, down from $1,280.5 million in the three months ended March 31, 2025 (a 12.8% year‑over‑year decline). Completion services…
• Headcount / RestructuringImportance 59 · Surprise 82
  The company incurred employee separation costs and internal reorganization expenses in Q1 2026 that materially increased segment and corporate G&A (drilling services G&A rose ~80% YoY). Management attributes higher…
• Backlog and Term ContractsImportance 56 · Surprise 24
  Patterson-UTI reports a U.S. contract drilling backlog of approximately $260 million as of March 31, 2026, tied to term contracts (defined as six months or more). The company notes term contracts help support its…
• Revenue Concentration RiskImportance 56 · Surprise 24
  The company maintains a U.S. contract drilling backlog of approximately $260 million as of March 31, 2026, which provides term‑contract revenue visibility and represents a significant portion of near‑term drilling…
• Supply Chain CommitmentsImportance 50 · Surprise 24
  As of March 31, 2026 Patterson-UTI had commitments to purchase major equipment totaling approximately $128 million, reflecting near‑term capital procurement plans. The completion services segment has minimum proppant…
• Macroeconomic Factors ImpactImportance 47 · Surprise 48
  The company identifies commodity price volatility, geopolitical events and trade policy uncertainty as primary drivers of demand for its services; oil averaged $72.74/bbl in Q1 2026 (vs. $59.62/bbl in Q4 2025) and…
• Capital Expenditures and UsesImportance 44 · Surprise 24
  For Q1 2026 Patterson-UTI reports uses of cash that included $117 million of capital expenditures for betterment and refurbishment of drilling services and completion services equipment and procurement to support…
• Capital Expenditure TrendsImportance 44 · Surprise 24
  The company invested $117 million in capital expenditures during the three months ended March 31, 2026 primarily for betterment and refurbishment of drilling and completion services equipment. Segment capex in Q1 2026…
• Liquidity and Cash PositionImportance 43 · Surprise 6
  As of March 31, 2026 the company reported approximately $335 million of cash and cash equivalents and approximately $602 million of working capital. Availability under the revolving credit facility was approximately…
• Capital Return ProgramImportance 43 · Surprise 6
  The Board maintains an open-ended share repurchase program that, as of March 31, 2026, had $694 million of remaining authorization following a February 2024 increase to permit up to $1.0 billion of future repurchases.…
• Operating Days and ActivityImportance 42 · Surprise 40
  Patterson-UTI reports U.S. operating days declined 13.3% year‑over‑year (operational data relates to the contract drilling business) and an average active rig count in the U.S. of 92 rigs in Q1 2026, versus 93 in Q4…
• Geographic Market CommentaryImportance 40 · Surprise 42
  Patterson-UTI operates primarily across the continental U.S. and internationally (notably Colombia, Ecuador and other select markets) and from time to time pursues opportunities in additional regions such as Argentina…
• Market Demand TrendsImportance 38 · Surprise 24
  Patterson-UTI states its revenues, profitability and cash flows are highly dependent on E&P capital expenditures tied to oil and natural gas prices and macro conditions, noting high volatility in Q1 2026 driven by…

Revenue by Product (in thousands)